2019 CRUISE TRENDS & INDUSTRY OUTLOOK

1 2019. CRUISE . TRENDS &. INDUSTRY . OUTLOOK . CRUISE Lines International Association (CLIA), the world's largest CRUISE INDUSTRY trade association, has released the 2019 CRUISE TRENDS and State of the CRUISE INDUSTRY OUTLOOK . The report offers a look at the TRENDS impacting CRUISE travel in the coming year and beyond as well as the overall global economic impact. CRUISE Lines International Association (CLIA) is the unified global organization helping members succeed by advocating, educating and promoting for the common interests of the CRUISE community. 2. CLIA MEMBER COMMUNITY. 340+ Executive 50+ CRUISE Lines Ocean, river and specialty Partners CRUISE lines, representing more Key suppliers and CRUISE line than 95 percent of global partners, including ports &.

2 CRUISE capacity destinations and ship development, suppliers and business services 15,000 Travel Agencies 25,000 Travel Includes the largest Agent Members agencies, hosts, franchises Worldwide and consortia 3. GLOBAL VOICE. 7 Regions Around the World Australasia / Brazil / Europe / North America / Asia / Canada / UK & Ireland 4. TREND. OUTLOOK . 1 INSTAGRAMMABLE. CRUISE TRAVEL. Instagram photos are driving interest in travel around the world. With onboard connectivity, CRUISE passengers are filling Instagram feeds with diverse travel experiences both onboard and on land from several CRUISE destinations. 6. 2 TOTAL RESTORATION. Stressed out from fast-paced lives, travelers are seeking ways to check out from daily responsibilities and rejuvenate more than ever before.

3 CRUISE lines are responding by offering total wellness in the form of restorative spa experiences, onboard oxygen bars, healthy menu choices for a wide variety of diets, and the latest in fitness innovations. 7. 3 ACHIEVEMENT. OVER EXPERIENCES. Experiential travel has evolved into achievement travel as vacationers are looking for experiences beyond sightseeing. Bucket lists have become goal-oriented and CRUISE lines are meeting these demands. Passengers can conquer Machu Picchu or complete culinary workshops hosted by Le Cordon Bleu chefs. 8. 4 ON-BOARD SMART TECH. Travelers use tech in daily lives and are expecting smart tech when vacationing as well. CRUISE lines have adopted technology for CRUISE travelers including keychains, necklaces, bracelets, apps and more in order to provide a highly personalized travel experience while on and off the ship.

4 9. 5 CONSCIOUS TRAVEL. Travelers want to see the world in a conscious, mindful way. The CRUISE INDUSTRY is more conscientious than ever, working to local destinations to local cultures, landmarks and minimize environmental footprints. 10. 6 ACCESS IS THE NEW LUXURY. Travelers are setting sights on destinations that were previously out of reach some only accessible now by CRUISE ship from the Galapagos Islands to Antarctica. 11. 7 GEN Z AT SEA. Generation Z is set to become the largest consumer generation by the year 2020 outpacing even Millennials. This generation like the one before, prefers experiences over material items and is seeking out travel. The appeal of multiple destinations and unique experiences, such as music festivals at sea, is attracting this new category of cruisers.

5 12. 8 OFF PEAK ADVENTURES. The off-peak season is rising in popularity whether travelers want to escape the cold in a tropical locale or embrace the chill in a new destination. Cruising offers some once in a lifetime experiences during colder months including excursions to see the Northern Lights, visiting a penguin colony and touring European Christmas markets. 13. 9 WORKING NOMADS. Combining work with leisure time is on the rise. Straying far from the notion of device-free travel, many modern travelers or digital nomads . are opting for trips where they can work remotely which cuts down on time off and lost wages. With WiFi, desks and work-friendly cafes, travelers can keep up with work while enjoying a CRUISE vacation.

6 14. 10 FEMALE-CENTERED CRUISING. With the number of female travelers growing, many tourism and travel companies are creating female-centered itineraries based on interests and connecting women with other women. Female- centered cruises can create a female empowerment community at sea while allowing travelers to experience the world around them, as well as famous feminist landmarks. 15. 11 GOING SOLO. With more Google searches for solo travel . and traveling alone than ever before, solo traveling is rising in popularity. Cruising allows for solo travel without the worry of arranging a ton of details while visiting even the most far-reaching destinations and connecting with other travelers, forming community bonds and once-in-a-lifetime experiences.

7 16. 2019. CRUISE . INDUSTRY . OUTLOOK . 2019 PASSENGER CAPACITY SNAPSHOT. 2019 = 30 Million Passengers Expected to CRUISE CLIA Global Ocean CRUISE Passengers (In Millions). 30. 30 25 20 15. 10. 5. 0. 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018p 2019p p = projection 18. MORE SHIPS. 272. CLIA-Member CRUISE Ships Projection in Operation in 2019 18 New CLIA-Member Ocean Ships Scheduled to Debut in 2019. 19. NEW SHIPS DEBUTING IN 2019. CLIA Ocean Member CRUISE Lines Represented CRUISE LINE SHIP NAME. Aurora Expeditions Greg Mortimer Carnival CRUISE Line Carnival Panorama Celebrity Cruises Celebrity Flora Costa Cruises Venenzia | Smeralda Coral Expeditions Coral Adventurer Hapag-Lloyd Hanseatic Nature | Hanseatic Inspiration MSC Cruises MSC Grandiosa | MSC Bellissima Norwegian CRUISE Line Norwegian Encore PONANT Yacht Cruises and Expeditions Le Dumont-d'Urville | Le Bougainville Princess Cruises Sky Princess Royal Caribbean International Spectrum of the Seas Scenic Luxury Cruises and Tours Scenic Eclipse Saga Cruises Spirit of Discovery TUI Cruises Mein Schiff 2 20.

8 DEPLOYMENT. Alaska Asia w/o China Australia/NZ/Pacific Caribbean China Europe w/o Med Mediterranean South America All Other Percent of Share 21. TRANSLATING TO BOOKINGS. More Than Eight Out of Ten CLIA-Certified Travel Agents Stated They are Expecting an Increase in Sales in 2019 Over Last Year 22. economic . IMPACT. 2017 GLOBAL economic IMPACT. 1,108,676 $ Million Jobs Billion PASSENGERS FT EQUIVALENT WAGES + SALARIES. EMPLOYEES. $134 Billion TOTAL OUTPUT WORLDWIDE. 24. WHERE ARE PASSENGERS. COMING FROM? United States China Germany United Kingdom Australia Canada Italy Spain France Brazil Passengers in Millions 25. THANK YOU. For more information, please visit or contact: Sarah Kennedy (703) 628-7389.

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